Europe Pharmaceutical Cold Chain Logistics Market By Product, Temperature Type and Mode of Transportation: Country Opportunity Analysis and Industry Forecast, 2023 – 2032
The Europe pharmaceutical cold chain logistics market size was esteemed at $6,700.00 million in 2022 and is estimated to reach $12,307.51 million by 2032, exhibiting a CAGR of 6.5% from 2023 to 2032.
A cold chain is a fundamental part of pharma shipments and transits. It is often considered a temperature-controlled supply system used to store and transport perishable products, such as vaccines, biologics, and drugs. This chain must preserve a particular temperature range, often between 2°C and 8°C, to preserve the safety, potency, and efficacy of pharmaceutical products through the entire supply chain, from manufacturing and storage to transportation and distribution. Aside from directing processes, manufacturers, distributors, and healthcare providers benefit from technological innovations and developments to preserve the quality and integrity of pharmaceutical products and, consequently, ensure the safety of the consumers in need.
The integration of radiofrequency identification technology (RFID), AI, and blockchain technology in pharmaceutical cold-chain logistics is expected to revolutionize the cold-chain logistics industry, making it more efficient and secure. RFID system for cold chain applications consists of a reader, a tag, and a sensor that communicate with one another via radio transmission. If they have the right sensor and enough power, RFID tags can store a finite number of temperature measurements in addition to an electronic product code (EPC) for logistics management purposes.
In addition, RFID technologies improve the performance of perishable supply chains through the device to track the geographical position of individual packages, pallets, shipping containers, or trucks, which can be stationary or in movement during distribution. These technologies are used to identify items through a unique EPC or other barcode and to store real-time environmental data (including temperature), which is later transmitted, allowing corrective actions to be taken before products are irrevocably damaged. The technology provides manufacturers the transparency in tracing and protecting throughout the product supply chain.
Rise in several refrigerated warehouses and expansion of the pharmaceutical sector, along with the government policies and initiatives to promote cold chain logistics is expected to drive the growth of the pharmaceutical cold chain logistics market. In addition, the constant development of machines and medicines due to the rising number of approvals for pharmaceutical products in Europe fuels the growth of the aftermarket shock absorbers market. On the contrary, the rise in the number of products and services, from vaccines to cell and gene therapies, requires cold chain handling and refrigerated warehouses are projected to offer lucrative opportunities for the expansion of the market during the forecast period.
However, there is a concern about the high cost required for maintaining cold chain logistics, such as refrigerated storage facilities and transportation systems that poses a considerable challenge to the growth of the market. This cost can act as a barrier for smaller pharmaceutical companies or those operating in developing regions. Further, temperature excursions or disruptions in the cold chain may result in the loss of valuable pharmaceutical products. This risk is especially significant for temperature-sensitive medications, vaccines, and biologics, leading to financial losses and potential reputational damage for pharmaceutical companies. This is expected to hamper the growth of Europe's pharmaceutical cold chain logistics market.
The European pharmaceutical cold chain logistics market is segmented into product, temperature type, mode of transportation, and region.
Product
Vaccines,
Biologics,
Specialty Medications
Others.
Type,
Chilled
Frozen
Room Temperature
Mode Of Transportation
Railways
Airways
Roadways
Waterways.
Country
France
Germany
Italy
Spain
UK
Switzerland
Ireland
The Rest of Europe.
Key players covered in the report
A.P. Moller–Maersk
DB Schenker
DHL Group
DSV
Geodis
H. Essers
Kuehne + Nagel
Movianto
Sovereign
VTS Transport & Logistics.